12 March 2012 Ministerial Correspondence 2012-0436861M4 - Volunteer Firefighters Tax Credit

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

Principal Issues: 1. Certification of eligible volunteer firefighting services.

Position: 1. The fire department is responsible for certifying each volunteer's hours for the purposes of claiming the VFTC.

Reasons: 1. The legislation.

March 12, 2012

XXXXXXXXXX

Dear XXXXXXXXXX :

Thank you for your correspondence of February 1, 2012, regarding the new volunteer firefighter tax credit (VFTC). You ask for information that could help you certify the portion of eligible volunteer firefighting services (eligible services) for firefighters who are on call.

To qualify for the VFTC, a volunteer firefighter must complete at least 200 hours of eligible services with one or more fire departments in the year.

Eligible services include all services volunteer firefighters provide to a fire department in the capacity as a volunteer firefighter; however, those services must consist primarily of the following:

• responding to and being on call for firefighting and related emergency calls as a firefighter;
• attending meetings held by the fire department; and
• participating in required training related to the prevention or suppression of fire.

Even if a volunteer carries a pager, cellphone, or blackberry to receive notifications of an emergency, carrying such a device in itself does not establish that the individual was on call. Normally it is the volunteer’s responsibility to inform the appropriate official in the fire department of any periods during which he or she will not be available to respond to a call (for example, while on vacation). The Canada Revenue Agency (CRA) expects that each fire department will examine its on call procedures to certify the number of hours of eligible services. When certifying a volunteer’s eligible hours, it is the CRA’s view that a fire department should assess each volunteer’s on call availability for response in accordance with its own departmental expectations, operational requirements, and applicable policies and procedures.

Volunteer firefighters should rely on their fire department to determine the number of hours of eligible services that have been completed in the year. The CRA may ask for a written certification from a fire chief or delegated official within the fire department to verify claims for the VFTC.

I trust that the information I have provided is helpful.

Yours sincerely,

Gail Shea, P.C., M.P.
Minister of National Revenue

Robert Dubis
(905) 721-5191
2012-043686